Application of IFRS 16 Leases to Overseas Consolidated Subsidiaries

「At overseas consolidated subsidiaries that apply International Financial Reporting Standards (IFRS), IFRS 16 (Leases) has been applied from the beginning of the first quarter consolidated accounting period. In applying IFRS 16, the Company adopted the permitted transitional approach of recognising the cumulative effect of applying the standard at the date of initial application.」

「At overseas consolidated subsidiaries that apply International Financial Reporting Standards (IFRS), IFRS 16 (Leases) has been applied from the beginning of the first quarter consolidated accounting period. In applying IFRS 16, the Company adopted the permitted transitional approach of recognising the cumulative effect of applying the standard at the date of initial application.」

「At overseas consolidated subsidiaries that apply International Financial Reporting Standards (IFRS), IFRS 16 (Leases) has been applied from the beginning of the first quarter consolidated accounting period. In applying IFRS 16, the Company adopted the permitted transitional approach of recognising the cumulative effect of applying the standard at the date of initial application. Accordingly, for leases as lessee that had previously been classified as operating leases under IAS 17, right-of-use assets and lease liabilities were recognised at the date of initial application. In addition, certain assets included in intangible assets were reclassified to other property, plant and equipment. As a result of applying the standard, other property, plant and equipment, net, increased by ¥250,056 thousand, other current liabilities increased by ¥10,423 thousand, and other non-current liabilities increased by ¥144,361 thousand in the quarterly consolidated balance sheet for the first quarter consolidated accounting period, while intangible assets decreased by ¥95,965 thousand. The impact on income for the first quarter cumulative consolidated period was immaterial.」